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Service and the economy
May 20, 2008

http://drishtikone.com /?q=blog/service-and-economy

We are a service economy. Close to 80% of our GDP is service based. In a marketplace wrought with problems and concerns over the economic downturn, one must wonder how we will pull ourselves out of this fiscal malaise, when our primary source of business results from how we service what others manufacture.

Never will service be a more considered factor in securing and maintaining business relationships. In these troubling times relationships will be tested, and I predict only those who have served customers and clients well, will survive well. With ferocious competition for limited client attention and business, how we serve will become a means to compare and judge.

Competitive differ­entiation, which is lasting and enduring, will prevail in these turbulent times. We are seeing it already. Retailers and suppliers who have treated their customers and clients badly are feeling the pressure now. Business is falling off, and trying to change in the midst of an economic crisis may be a daunting challenge. People are being let go, locations closing and these two factors, connection and convenience, are at the center of any service strategy.

Those who have been paying attention to how they serve their customers and clients all along will get through these difficult times hurt, but perhaps not crippled.


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